I’m going to lift a piece of the definition directly from Wikipedia:
Meaning
The metaphor illustrates the argument that free access and unrestricted demand for a finite resource ultimately reduces the resource through over-exploitation, temporarily or permanently. This occurs because the benefits of exploitation accrue to individuals or groups, each of whom is motivated to maximize use of the resource to the point in which they become reliant on it, while the costs of the exploitation are borne by all those to whom the resource is available (which may be a wider class of individuals than those who are exploiting it). This, in turn, causes demand for the resource to increase, which causes the problem to snowball to the point that the resource is depleted (even if it retains a capacity to recover). The rate at which depletion of the resource is realized depends primarily on three factors: the number of users wanting to consume the common in question, the consumptiveness of their uses, and the relative robustness of the common.[original article]
A common argument I hear against the EPA (Environmental Protection Agency in America) is that it raises the cost of doing business to protect seemingly stupid things. “Did you know they shut down a huge oil field in Texas to protect a lizard?” [reference] And this argument, while true on the surface, kind of misses the point of the EPA.
The EPA is a government institution, created by a fabric of laws and regulations, to address a very real problem in a Free Market. The problem in a free market is the tragedy of the commons. That is to say, if I can shift the costs of my business to everyone else with no penalty, I MUST do so in a free market because a purely free market has no incentive to look out for anybody else but myself.
What do I mean by ‘shifting the costs’? Let’s say I’m running a nice chemical plant that makes a nice chemical used by other industries. And let’s say that one of the by-products of my process produces a slightly toxic and entirely useless sludge. In a pure free market, it is in my best interest to get rid of that sludge in the cheapest way possible. The cheapest way is to dump it in a river. I, myself, no longer have to bear the cost of cleaning up this chemical, so I win! But the towns downstream pay the cost instead in higher disease rates, lower fish populations, lower quality of life, loss of tourism, etc etc etc. THAT is what a pure free market gets you with no rules and regulation.
The EPA is a governmental organization that was meant to create a societal good (clean up the environment) while at the same time to prevent people from shifting part of their costs onto the public. Back in my hypothetical chemical company, the EPA shows up, makes me pay to clean up the mess I made and install controls and treatment processes to keep that sludge from harming everyone else. The cost of doing business goes up for me.
But the COST WAS ALREADY THERE.
The cost has just been shifted from the public (those towns downstream) back to me. This is MORE JUST than letting me piss that sludge over the rest of society and telling them to clean it up.
Ideally, that is what the EPA does. It keeps the air and water clean for society by keeping individuals from messing it up for everyone else. The EPA has been quite effective in this regard. Water and air purity increased dramatically throughout the late 70′s, 80′s, and 90′s. Smog disappeared or was drastically reduced in several urban areas and many waterways became safe to go near without a gas mask.
The EPA is a governmental organization. As so often happens with governmental action, there is a problem with the Law of Unintended Consequences. There are indeed cases where the laws, as applied, make no sense. I am fully willing to concede that point. But the correct response to this is to fix the laws, not throw them out.
The current Republican-led House is passing bill after bill to throw the baby out with the bath water [mother jones article]. And Koch brothers-funded astroturf organizations are gearing up to stop any new regulations from getting on the books [regulation of power plant emissions].
This leads us to my conclusion:
EPA = Good
EPA = Human construct that sometimes gets things wrong
The biggest “Problem” I see with the EPA is that organizations (purely free market constructs with no consciousness and completely amoral) have the right to buy politicians. Those politicians are now trying to change laws (you do remember that the EPA is a ‘fabric of laws’, right?) to please those who are paying them to be re-elected.